Shiba Inu buy signal spotted: Is a SHIB price reversal on the horizon?

Whale accumulation buoyed bullish spirits on SHIB’s charts
Deviation below the range followed by a quick reclamation gave a high probability buy signal

Since late November, Shiba Inu (SHIB) has experienced losses, much like other meme coins in the market. The difficulty Bitcoin (BTC) faced in regaining $100k and the resulting price instability didn’t provide any help to SHIB supporters trying to push its value up.

Nevertheless, the somber atmosphere surrounding the market didn’t deter a whale from transferring approximately 8.18 trillion SHIB from the Crypto.com exchange, which was worth roughly $195.1 million at that point in time.

A SHIB buying opportunity near the range lows

As a crypto investor, I’ve noticed that Shiba Inu seems to be gradually bouncing back from the significant dip it experienced in mid-2024. The $0.00002 region, which previously acted as a resistance barrier before November, has now transformed into a supportive area for me at this moment.

Despite recovering somewhat following the decline in December, which dropped the price below the 61.8% Fibonacci retracement level at $0.00002325, the daily structure has remained bearish. Subsequently, this crucial level has thwarted bullish attempts to surge ahead, resulting in a temporary price range.

Based on the Awesome Oscillator, the inflow of capital remained balanced, while there was a slight tendency for prices to decline (bearish) on the daily chart.

On the 4-hour chart, the short-term price pattern became more apparent. The lowest point of the range, at around $0.000021, briefly broke on Monday as Bitcoin dipped to $89,200. However, since then, Shiba Inu has bounced back significantly. This brief dip below the range low and the swift recovery served as a robust indication for buying opportunities.

Read Shiba Inu’s [SHIB] Price Prediction 2025-26

Over the upcoming week, there’s a possibility of a significant increase in price towards the range high of approximately $0.0000246 for SHIB. But it’s crucial to exercise caution since the capital flow momentum (CMF) indicates slight negative capital flows, which could suggest a lack of buying pressure. Consequently, SHIB might find it challenging to surpass the mid-range resistance at around $0.0000228 without sufficient buying pressure.

Traders might choose to position their stop-loss levels beneath the lowest recent price points, or specifically at $0.0000202. This is because a potential price gap in the lower timeframes around $0.0000208 could potentially halt any further price drops.

2025-01-15 03:03

A SHIB buying opportunity near the range lows

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